Question-and-Answer Session
Operator
Thank you. Ladies and gentlemen, at this time, we will be conducting a question-and-answer session. (Operator Instructions). Our first question comes from the line of Michael Bilerman, with Citi.
Greg Schweitzer - Citi
Hi, it's actually Greg Schweitzer here with Michael. Good morning.
Craig Macnab
Good morning, Greg.
Greg Schweitzer - Citi
Could you talk a little bit about the tenant or sector composition of the -- I think it's $175 million in the inventory portfolio? And just basically how you get comfortable with that balance?
Craig Macnab
Well, just before that, the starting point is and Kevin is going to give you some information, but the starting point is that during the course of this year, we have reduced that inventory by just over $100 million through June 30. And we've already had, as Kevin mentioned, he said, we have several properties under contract. In fact, several of them are actually closed here in the month of July, and again, at very low cap rates. So, we have done a good job of shrinking that. We did complete a large transaction in late 2007, where we did put a meaningful slug of properties into the TRS. This was quality control from that portfolio and the good news is, we've dramatically curtailed and shrunk that inventory.
Kevin Habicht
And, Greg, we don't get a whole lot of detail on what's in there. We'll note and remind folks that our nnn1031.com website lists things that we're marketing. Much of that is from our TRS. But I will note that in our TRS, of the $176 million that you see on the balance sheet at quarter end, about $77 million of that is in our 1031 exchange properties, which are properties we've acquired for immediate resale, and about $99 million is in development, and of that development $99 million $74 million, $75 million is completed. So, it's properties and tenants that look a whole lot like our core portfolio, and you can get some color on that website as to exactly what they are and what kind of cap rates we're looking at.
Greg Schweitzer - Citi
Okay, thanks. And, the sales that you completed in July. Cap rates in the low 7s? Is that reasonable?
Craig Macnab
Maybe a little bit better than that. These were deals that were struck several months ago, and cap rates were aggressive.
Greg Schweitzer - Citi
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